Local Currencies—what works; what doesn’t? Each time you swipe your card at a store, the store, or merchant, pays an interchange fee. Why the future of money is mutual credit (and not Bitcoin), 2019-10 interview on Ellen Brown's podcast, It's Our Money, 2020-10 My interview with Patricia Cori on Beyond the Matrix, 50 ways to leave the Euro: Greece and the global crisis, Appendix B — An Objective Composite Standard Measure of Value, * News and Information Sources-My Favorites on the State of the World, Complementary Currency Systems presented by Richard Logie, Geopolitics-recommended authors, commentators, and sources, IRTA-International Reciprocal Trade Association, MindDetox–Rafael Zambrana's Informative Blog, The Essence of Money-Animation by Paul Grignon, The Money Masters: How International Bankers Gained Control of America, A Review of The Lost Science of Money by Stephen Zarlenga, A short film about the WIR exchange cooperative, The Moxey trade exchange network—architecture and operations, Painting a (false?) In practice customers prefer to settle their debts with each other by cheque, ordering the transfering of money from one account to another. Economically, money … Note the 2nd chart showing debt growing exponential to GDP, a flagrant violation of Section 2A of the Federal Reserve Act: Fed Z1: A SEVERE Storm Warning If you obtain a loan from your bank, in a very real way, you’re borrowing your own money. >>What happened in reality is that excessive money creation [by whom is the question here, not why!] “The greatest enemy of knowledge is not ignorance, it is the illusion of knowledge.” They therefore actually create money out of nothing, thin air! But a large supply of new money doesn't create demand. Banks make money on loans by charging interest. 97% of the money in the economy today exists as bank deposits, whilst just 3% is physical cash. The lending activity on the basis of which the deposit money is created is in fact a secondary issue of money. Iakovos Alhadeff, the problem is a duopoly between government and the banking interests that finance government. This difference is 'the money that the bank makes from nothing.'. A newly-released study from the Congressional Research Service bolsters claims that the nation's largest banks profited off the Federal Reserve's financial crisis-era programs by borrowing cash for next to nothing, then lending it back to the federal government at substantially higher rates. They can do this because it is unlikely that all of … Tragedy and Hope, Chapter 19: ], and much harder to realize that it was state policies and laws that dictated such expansions and led to bubble creation [we’ll wait for his explanation here].<>I therefore believe that it is of great importance for the general public to realize that private banks cannot create inflationary money. This short video explains: The money that banks create isn’t the paper money that bears the logo of the government-owned Bank of England. Only I'm fighting that tyranny in your mind, but the problem is that you will almost certainly like the lie you've been duped into believing, facts be damned. Examples include overdraft fees, savings overdraft protection fees, debit card fees for using atm/debit cards at foreign atms, merchant services fees for business owners who utilize credit and debit card payment processing systems through the banks … Whenever a bank makes a loan, it simultaneously creates a matching deposit in the borrower’s bank account, thereby creating new money. Care2 Stands Against: bigots, racists, bullies, science deniers, misogynists, gun lobbyists, xenophobes, the willfully ignorant, animal abusers, frackers, and other mean people. The government isn't over $20 trillion in debt TO ITSELF! This is called electronic central bank money, or reserves. 2. They make money on the interest they charge on loans because that interest is higher than the interest they pay on … – Jefferson to Dr. Benjamin Rush, September 23, 1800. Make more money. The actual process of money creation takes place primarily in banks. So, what do they do? It is the annual convention of the International Reciprocal Trade Association (IRTA), the premier organization for the … Continue reading →, Orthodoxy and the meaning of events is the title of an article recently published by Richard K. Moore, author of Escaping the Matrix: how We the People can change the world, and numerous insightful articles that are helpful in making … Continue reading →. The Board of Governors of the Federal Reserve System and the Federal Open Market Committee ***shall maintain long run growth of the monetary and credit aggregates commensurate with the economy’s long run potential to increase production***, so as to promote effectively the goals of maximum employment, stable prices, and moderate long-term interest rates. The borrower is SERVANT to the lender, after all. In comparison, banknotes and coins only make up 3%. So I asked, “The bank creates money from nothing, I mean all they do is print money out that is basically worthless plastic, which holds no value beside the plastic it was printed on. But banks don't really create money "out of thin air", and there is no such thing as free money. If the bank has surplus assets that it can put forth in the market place, it can even make money by putting out these assets on loan to customer banks. While watching television, listening to the radio or just reading newspapers one word is constantly being repeated, "bank“. Banks agree to a decent payment to them for this, but banks can always get paid more by finding someone a little riskier. The monetary wealth of the Debt Money Monopolists is, BY DEFINITION, the INEXTINGUISHABLE DEBT OF EVERYONE ELSE! The first one is taxation, the second one is domestic and foreign borrowing, and the third one is by printing new inflationary money.<>If a government goes too far with the printing press though, it can cause very high levels of inflation, or even hyperinflation, with catastrophic consequences for the economy. The fact is the central governments and banks collude in the creation of money based on debt. And it took one sentence to simply explain how banks create new money – by issuing loans. "The reality of how money is created today differs from the If the banks don’t own anything as … Sovereign or Slave? And that's how all of this new money enters the economy. The vast majority of the non-bona-fide money that banks create, is created on the basis of loans made to national governments (when banks buy government bonds). Aside from lending money out to earn interest, banks also make money from the various fees they charge to customers and non-customers alike. Central banks and the Fed like to keep the inflation rate around 2% but after the whole world just created trillions out of thin air that number is going to be much harder to control. The Federal Reserve itself told us long ago that banks create money by making loans. Make money listening to music – lie down and pull in the cash; 6. This mechanism was explained in a paper published in 2014 by German economist Richard Werner: 'Money supply is like a magic powder made by a fairy in a fairy tale. Banks. ', modern money is still in that old-fashioned form of bank,. 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